Company update: Cermaq 2010

Quarter four profits (EBIT pre fair value adjustment) were NOK 601 million (€77.62m) and the EBIT adjusted for sales gains was NOK 574 million (€74.13m), which is the best result ever for Cermaq.

 

The excellent result for the quarter is based on increased farming volumes, high salmon prices and strong results from the Chilean operations.

 

CEO of Cermaq, Geir Isaksen said: “I am proud of the results from both Mainstream and EWOS. Building on the current strong market, both business units demonstrate improvements in volumes, cost, and working capital, comments.”

 

Cermaq’s fish feed division, EWOS, reported an EBIT of NOK 210 million (€27.12m) for the quarter, a Q4 record in the company’s history.

 

The Norwegian feed market decreased by 4% in the fourth quarter 2010 compared to last same quarter year. Despite this, EWOS achieved a growth of 7% compared to same quarter 2009, primarily from increased volumes in Chile and continued rising demand for value added products.

 

“This result reflects a volume increase for EWOS in all regions in the quarter and also increased attention by the farmers to our functional feeds which provide better yield and fish health,” explains Geir Isaksen.

 

Cermaq’s fish farming company, Mainstream demonstrated continued improvements and reported an EBIT pre fair value adjustment of NOK 392 million (€50.63m) in Q4 2010, representing an EBIT/kg of NOK 10.8 (€1.39).

 

For the full year 2010, Cermaq reported an operating revenue of NOK 9,991 million (€1,290m) and an EBIT pre fair value adjustment of NOK 1,439 million (€185.8m) – the best result ever in Cermaq’s history.

 

 “In this situation it is promising to note how EWOS continues building its product portfolio and thus contributes to ensure the good operational and financial results for Cermaq and its customers,” concludes Geir Isaksen.